According to the Legislative Budget Board (LBB), SB 1920 is not anticipated to have any significant fiscal impact to the State. The bill mandates that chief appraisers grant a property tax exemption for qualifying cemeteries—those used exclusively for human burial and not for profit—even when no formal application is filed, provided the property owner cannot be identified and the appraiser knows or should know the land qualifies through a reasonable inspection.

While this change could reduce the taxable property base, particularly for cemeteries currently taxed due to the absence of an exemption application, the overall effect on state finances, including through the school funding formula, is expected to be minimal. There may be some loss in local tax revenue, especially in jurisdictions with untaxed or underreported burial grounds. However, the bill’s impact on local governments is also not anticipated to be significant due to the limited number of affected properties and the relatively low taxable value typically associated with cemetery land.

One possible concern raised in the fiscal note is the potential for inadvertent exemptions being granted to ineligible properties, especially in cases of mistaken identification or incomplete property records. Nonetheless, the absence of comprehensive data on taxable cemetery property prevented the LBB from quantifying the total fiscal impact. In conclusion, while SB 1920 may shift some administrative responsibility to local appraisal districts, its fiscal effects on both state and local levels are expected to be negligible.

SB 1920 proposes a thoughtful update to Section 11.43 of the Texas Tax Code by allowing chief appraisers to grant a property tax exemption for cemeteries used exclusively for human burial, even when no exemption application is submitted and no identifiable property owner exists. This measure addresses a real-world problem: historic or abandoned cemeteries being subjected to property tax and, in some cases, foreclosure simply because no living person is left to apply for the exemption. The bill promotes administrative fairness and cultural preservation by ensuring these properties are not lost due to a bureaucratic technicality.

The Committee Substitute enhances the original bill by authorizing appraisal districts to seek assistance from governmental or nonprofit entities in determining whether a property qualifies as a cemetery. This addition ensures that decisions are accurate and responsibly informed without increasing bureaucracy or creating new regulatory layers.

Importantly, SB 1920 does not grow the size or scope of government, as it operates entirely within the existing framework of local appraisal districts and utilizes voluntary interagency collaboration. It does not impose new taxes or fees, nor does it require new funding or staff. While the exemption may reduce the tax base slightly in rare instances where qualifying cemeteries were previously taxed, the Legislative Budget Board found no significant fiscal impact to the state or local governments, and the affected properties typically hold minimal taxable value.

Moreover, the bill does not impose any new regulatory burdens on individuals, businesses, or property owners. In fact, it reduces administrative hurdles by eliminating the exemption application requirement for situations in which it is impossible to comply. This adjustment exemplifies limited, responsive government by solving a narrow problem with minimal intrusion and without expanding state power.

SB 1920 is aligned with core liberty principles—protecting private property, respecting individual and community history, and minimizing unnecessary government interference. It represents a balanced policy reform that promotes equity and preserves culturally significant land while respecting fiscal responsibility. Therefore, Texas Policy Research recommends that lawmakers vote YES on SB 1920.

• Individual Liberty: The bill upholds individual liberty by ensuring that burial grounds—often deeply connected to family history, cultural identity, or religious belief—are protected from governmental overreach when no living person is able to defend their tax-exempt status. By allowing a chief appraiser to recognize and exempt such properties without requiring an application from an unavailable or unidentifiable owner, the bill preserves the dignity of the deceased and respects community values associated with burial sites.
• Personal Responsibility: While the bill exempts certain property owners from the usual requirement to file for an exemption, it only does so in cases where the owner is not identifiable, situations where fulfilling that responsibility is impossible. It preserves the principle of personal responsibility by ensuring that the exemption is still based on facts about the property's use, not on convenience or broad exemptions.
• Free Enterprise: The bill does not affect market activities, business interests, or commerce. Since it only applies to non-profit cemeteries used exclusively for human burial, it avoids interference with the functioning of the private market and imposes no restrictions on business or economic liberty.
• Private Property Rights: The bill enhances private property protections by shielding qualifying cemetery land from being taxed simply because no one remains to claim it. Under current law, these properties risk being treated as delinquent for tax purposes, potentially leading to foreclosure and government seizure. The bill closes this loophole, reinforcing the principle that the right to property includes the right not to have that property unjustly taxed or lost due to procedural barriers that are impossible to satisfy.
• Limited Government: This legislation is a clear example of limited government in action. It does not create new agencies, programs, or oversight powers. Instead, it fine-tunes existing law to reduce unnecessary red tape for a very specific set of properties, and it does so by relying on the local knowledge and discretion of appraisal district officials. The provision allowing chief appraisers to request help from other public or nonprofit entities supports a collaborative, low-cost approach to public administration without expanding the state's reach.

• HB 2723 (Same As)